Canada may soon have its own digital dollar, thanks to a new project from Calgary-based Tetra Digital Group. The company announced it has raised $10 million to create a regulated stablecoin tied directly to the Canadian dollar. The move could give Canadians a homegrown option in a market currently dominated by U.S. dollar-pegged tokens.
Tetra Digital Raises $10M to Build a Canadian Stablecoin Backed by Big-Name Investors
Tetra Digital has attracted strong backing from some of the country’s most recognized names, including Shopify, Wealthsimple, Purpose Unlimited, Shakepay, ATB Financial, National Bank, and Urbana Corporation. The stablecoin, planned for release in early 2026 pending regulatory approval, will be managed by Tetra Trust, the firm’s regulated digital asset custodian. Each coin will be supported 1:1 by Canadian dollar reserves held within the country.
The project reflects growing global interest in stablecoins, which are basically cryptocurrencies linked to traditional currencies or commodities. While the market of these coins already tops $270 billion, it is forecasted to surge past $1 trillion in the coming years.
At the same time, lighter projects such as meme tokens are also finding an audience, with some early-stage coins like those from maxidogetoken.com showing how online communities can drive enthusiasm in ways very different from institutional projects like Tetra’s. Both types of tokens highlight just how diverse the crypto space has become.
A Push for a Canadian Alternative
For years, most stablecoin activity has been tied to the U.S. dollar. But Tetra’s CEO Didier Lavallée and other advocates argue that Canadian businesses need their own digital option. Without it, every time Canadians use U.S.-denominated tokens, they end up supporting the U.S. economy rather than their own. A Canadian-dollar stablecoin, they argue, would provide businesses and consumers with a direct way to trade, pay, and send money abroad, without incurring added fees or experiencing long delays.
Supporters also point out that the U.S. government’s recent GENIUS Act, which paved the way for major companies to issue USD-backed stablecoins, could spark a global race. Countries that fail to move quickly may risk falling behind. For Canada, the launch of a domestic stablecoin is being framed as both a financial and strategic necessity.
Regulation Remains the Missing Piece
The biggest hurdle is regulation. In Canada, stablecoins are still treated in some cases as securities, meaning they fall under the same rules as stocks. Industry leaders, including Coinbase, which has also invested in Canadian projects, are pressing Ottawa to provide a clearer framework. Advocates say that without updated rules, the country risks stalling innovation.
Regulation also plays a key role in trust. Some experts remain cautious, warning that unless issuers can prove they have the assets to back every token, risks remain. Brent Arnold, a Toronto lawyer focused on cybersecurity, points out that a collapse in confidence could trigger the digital version of a bank run.
Looking Ahead
Whether Canada truly needs its own stablecoin is still debated. Some skeptics view it as a solution chasing a problem, while others argue that it’s essential for the country to keep pace in a rapidly evolving financial landscape.
What’s clear is that stablecoins are no longer a fringe experiment. With billions at stake, and with regulation on the horizon, Canada is positioning itself for a future where money may be as digital as the devices we use to spend it.
